Barclays Plc has said it’s in exclusive talks to sell the iShares exchange-traded funds unit to CVC Capital Partners Ltd. of London, according to Bloomberg and other news sources. The sale price for an 80-percent stake may be about $4.3 billion.
Barclays will keep the division’s securities-lending operation, according to a statement. It will also retain a 20 percent stake in iShares and may provide loans equal to about two-thirds of the purchase price to help finance the deal, insiders said.
Selling iShares may help Barclays avoid tapping government funds after the bank opted out of the Treasury’s asset insurance program. Royal Bank of Scotland Group Plc and Lloyds Banking Group Plc slipped into government control after taking taxpayer funds, Bloomberg reports.